Air Conditioning Systems Market, By Types (Mini Split Ac, Multi Split AC, Variable Refrigerant Flow and Floor Ceiling), By Distribution (Online, Offline), By Use Case (Commercial, Residential), By Pricing (Low, Medium, High), By Region - Global Analysis Forecast Till 2030

The global air conditioning systems market was worth USD 114.60 billion in 2021 and is expected to grow at a compound annual growth rate (CAGR) of 6.6% between 2021 and 2030.

Air conditioning systems are widely used in various settings, including homes, shopping malls, commercial buildings, and entertainment venues. AC is still a popular product in developing countries; however, the affordability of environmentally friendly products remains a major challenge.  Air conditioning systems have played a critical role in transforming the indoors, particularly in hot and humid areas. They have become an essential component of the infrastructure that supports modern spaces. Furthermore, as economic growth in emerging markets continues to accelerate, demand for AC is expected to rise in the coming years.

Market Dynamics

Drivers

During the forecast period, the growing demand for energy efficiency is expected to drive growth in the global air conditioning systems market. The growing consumer awareness of energy efficiency has increased demand for air conditioning systems. Energy efficiency has become a major concern in industrial and domestic settings, particularly in developed regions such as North America and Europe. Since air conditioning systems consume a lot of electricity, consumers are looking for energy-efficient models that use less energy and lower their electric bills. As a result, manufacturers are forced to design efficient systems to maintain growth. Furthermore, consumers in Europe and North America are replacing traditional air conditioning systems with models that consume less energy.

Rising disposable income in emerging economies is expected to drive growth in the global air conditioning systems market during the forecast period. Emerging economies such as India and China are rapidly increasing their disposable income. As a result, consumers are more likely to purchase electronic and electric products, such as air conditioning systems, to keep up with the rapidly changing lifestyle.

Opportunities

Untapped markets such as the Asia Pacific region and the Rest of the World are expected to drive demand for air conditioning systems. With rising consumer awareness, these regions will have greater penetration. The rising living standards in these underserved markets will drive up demand for air conditioning systems. Inverter-based and solar-based air conditioning systems will be in high demand in the Asia Pacific and the Rest of the World due to their energy and environmental benefits.

Companies focus on energy-efficient solutions that help reduce CFC and HCFC emissions and make air conditioning systems more energy efficient. Advanced air conditioners are being introduced with communication technology allowing remote access via the internet or smartphones. Solar power air conditioners and inverter-based air conditioners are becoming popular in Japan and are expected to gain widespread acceptance globally.

Key players:

• Daikin Industries, Ltd.

• GREE Electric Appliances Inc.

• Haier Group Corporation

• Lennox International Inc.

• LG Electronics Inc.

• Mitsubishi Electric Corporation

• Panasonic Corporation

• Samsung Electronics Co., Ltd.

• Toshiba Corporation

• Voltas Limited

Market Segmentation:

The report has segmented the Air Conditioning Systems market based on Product, Distribution Channel, Application, Pricing, and region.

Air Conditioning Systems Market, By Product

• Mini Split Ac

• Multi Split AC

• VRF

• Floor Ceiling 

Air Conditioning Systems Market, By Distribution Channel

• Online

• Offline

Air Conditioning Systems Market, By Application

• Commercial

• Residential

Air Conditioning Systems Market, By Pricing

• Low

• Medium

• High

Air Conditioning Systems Market, By Region

• North America

• Latin America

• Europe

• Asia Pacific

• Middle East & Africa

Regional Analysis:

North America accounted for more than XX% of total market revenue. The North American market as well as other developed markets around the world, are expected to grow primarily due to replacement sales. Furthermore, rising government promotional activities to increase the adoption of energy-efficient air conditioning systems in order to reduce energy consumption are expected to fuel regional Air Conditioning Systems market growth. Even though the global air Conditioning Systems Market fell due to the spread of the COVID-19 pandemic, North America and Europe recorded flat growth in 2020 and were not as negatively impacted as the rest of the world.

The Middle East and Africa were hardest hit by the COVID-9 pandemic, with demand for air conditioning systems dropping in 2020. The drop in sales was caused by travel restrictions imposed by several countries, which impacted the Middle Eastern economies. The region is expected to recover quickly, with major global events such as the Qatar FIFA World Cup 2022 scheduled in the region, encouraging new construction. The Asia Pacific region also saw a significant drop in AC demand as economies suffered, operations were closed down, and imports/exports from China were hampered by travel/transportation restrictions.

Scope of the Report:

User

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